What Is Raydium?
Definition
Raydium is the largest automated market maker (AMM) and liquidity protocol on Solana, supporting both CPMM and legacy AmmV4 pool types.
Raydium is Solana's primary decentralized exchange infrastructure. It provides the liquidity pools that enable token trading on the Solana blockchain.
- CPMM v2 (Concentrated Position Market Maker): The current standard. Create a pool in one transaction — no OpenBook market required. Lower creation cost and simpler setup.
- AmmV4 (Legacy): The older format that requires an OpenBook Serum v2 market to be created first. Still used by some tokens that need order book integration.
When you launch a new token on Solana, creating a Raydium pool is how you enable trading. The pool pairs your token with SOL (or another base token), and Raydium's AMM algorithm handles pricing.
CoinDevTools supports both Raydium pool types — CPMM for the modern flow and AmmV4 for legacy compatibility.
Related Terms
Liquidity Pool
A liquidity pool is a pair of tokens locked in a smart contract that enables decentralized trading on automated market makers (AMMs) like Raydium and Uniswap.
LP Tokens (Liquidity Provider Tokens)
LP tokens represent your share of a liquidity pool. They can be redeemed to withdraw your deposited assets or burned to permanently lock the liquidity.
OpenBook Market
OpenBook (formerly Serum v2) is an on-chain order book protocol on Solana. Creating an OpenBook market is required for Raydium AmmV4 liquidity pools.